UK fund industry's assets hit fresh record of 7.1 trillion pounds - report

LONDON (Reuters) - The total value of assets managed by Britain's investment management industry hit a fresh record of around 7.1 trillion pounds in the first half of 2015 and year-on-year growth should top 9 percent, an industry body said on Thursday.

TheCityUK, which represents Britain's financial services industry, said the growth showed the country had cemented its position as the leading global centre for fund management on behalf of international clients.

The total of assets managed for this group hit a record of 2.5 trillion pounds at the end of 2014, up 14 percent on the prior year, it said in its report, 'UK fund management: An attractive proposition for international funds'.

Retail clients' assets under management amounted to 1.1 trillion pounds in 2014, with private clients' assets at 705 billion pounds, and alternative funds such as hedge funds and private equity, at 700 billion pounds, it added.

As a result of the government's move to attract more business to the country, the UK had a pipeline of around 50 companies interested in setting up fund management and related operations, said TheCityUK Chief Executive Chris Cummings.

The industry directly employs more than 57,000 people, with a third of them based in regional centres such as Edinburgh, Manchester, Liverpool and Cardiff, it said.

"With net exports in 2014 totalling around 5.2 billion pounds, the sector also generates a significant trade surplus, helping to offset the UK’s trade in goods deficit," it said.

(This version of the story was corrected to fix currency in headline, paragraph 1)

(Reporting by Simon Jessop; Editing by Greg Mahlich)